ARPC administers the terrorism reinsurance scheme, providing primary insurers with reinsurance for commercial property and associated business interruption losses arising from a declared terrorist incident. The purpose of the organisation is to protect Australia from economic losses caused by terrorism catastrophe.
What can happen next?
If the Martin Place siege is declared as a terrorist incident the insurance company will assess the claims under each policy holder’s terms and conditions. The insurance company may then submit a claim under their individual reinsurance agreement with ARPC. Excess or retention levels apply for individual reinsurance agreements.
If the Martin Place siege is NOT declared as a terrorist incident insurance companies cannot submit claims to ARPC. Business/property owners should continue to liaise with their insurers for more information.
For further information about this update, ARPC and our scheme please visit http://arpc.gov.au/ or call +61 2 6279 2100.